Ways to Get Started in Real Estate While Saving Money to Invest

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property

“Real estate is an imperishable asset, ever increasing in value. It is the most solid security that human ingenuity has devised. It is the basis of all security and about the only indestructible security.” –Russel Sage

Real estate is one of the excellent ways to financial freedom. As a result of your endeavors, you will have a better leverage on your finances. Unfortunately, even when you do have the drive to succeed, pecuniary setbacks would often deter you from accomplishing your goals. There has never been any doubt that getting started in real estate investing would require money and if you lack capital, more often than not, you are out of luck. However, this does not mean that dabbling in real estate would be rendered impossible owing to your lack of funds. You do need to work a little hard and b committed to your cause. There is a myriad of ways to get started with investing even while you are building your capital and if you are lucky, you might even be able to invest sans the capital.

In any case, whether you are looking to invest on your first property in cloverleaf or elsewhere, here are some ways to get started while you build your capital:

1. Working on your current job (or something like it)

If you are patient enough, you can build your capital by saving whatever you earn with your current salary. However, this takes a great deal of discipline on your part—so much so that you should learn how to curb your expenses. If your earnings are not that high, you might want to consider working overtime or at least taking side jobs doing things you have a natural flair at.

2. Wholesaling

While wholesaling has been largely misconstrued as an investment, it is actually still working a job. It is not investing, but it does give you a little background on the comings and goings in the investing world. Wholesaling is an avenue for you to connect with buyers and sellers of distressed properties. However, as you do not necessarily have the funds to time the closing between buyer and seller, what you can do is to essentially charge a “finder’s fee” for being the middleman.

3. Work as a referral agent

Although this is a relatively less-known practice, it is still an excellent way to create capital. One great advantage of being a referral agent over a regular real estate agent is that the former is a lot easier and requires much less of your time than a full-time real estate agent. All you would really need is a steady stream of connections which you can connect to real estate agents who you then charge a referral fee. This is one of the easiest jobs you can take to complement your current full-time job and it pays well as well.

4. Partnering

If you no money of your own, find a partner that does have the financial resources. However, you need to be able to bring something to the table such as your exceptional skills in marketing or your connections. Remember to be meticulous with your partners, however, as you do not want to be stuck with a partner who would potentially swindle you or would cuckold you. Do not be willing to partner up with a stranger. Start business relationships with people you already know or at least develop a strong relationship with them first before partnering with them. Lastly, ensure that you are adequately protected by consulting a lawyer to ensure legalities are covered.

Three Things to Consider Before Buying an Investment Rental Property

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property

“Progress always involves risk. You cannot steal second base and keep your foot on the first.”-Fred Wilcox

Real estate investments have been invariably considered as one of the excellent avenues for making profit.

In fact, it is always associated with a lucrative venture and is seen as a great moneymaking endeavor. When you have purchased your rental property, it would be as if you have poised yourself for financial freedom. However, while real estate investments may be considered as a great way to earn proceed, it is in by no means an easy and quick track to producing profits. After all, apart from having a particular business acumen in real estate, a great deal of patience and determination is also required from you. Moreover, trying your hand at real estate investments does not mean you can arbitrarily select properties and put them for sale then expect them to rake in revenue. Apart from doing your research, you need to be incredibly hands on in the initial phases of your endeavor. Remember, making money in real estate is so much more than just purchasing the first decent house you see.

While home improvement shows may show you that flipping houses is as simple as buying dilapidated properties and giving them cosmetic makeovers to improve overall function and aesthetics, real life is so much more than that. What they depict on TV may not even be necessarily what would occur in real life.

In any case, whether you are planning to turn your Makati condo (or property elsewhere for that matter) into a rental investment property, here are some things you ought to keep in mind:

1. Condition of the house

Of course, buying a fixer-upper probably means that the property you are going to be buying would be run-down or at least be a little beat. However, you need to set some realistic expectations about how much time and money you are willing to invest in order to make the downtrodden house attractive again. At the very most, you should go for the home that requires minimal repairs and cosmetic touches and then have it thoroughly inspected by a qualified professional. Moreover, you also need to ask yourself how many of these repairs would you be able to realistically do on your own and how many would require the expertise of a contractor.

2. The 1% Rule

While every real estate investor is entitled to his or her own financial goals when it comes to returns, it is a universal agreement that the income of an investment property should at least abide by the 1% rule. This means that you need to make at least 1% of its total purchasing price when you bought it every single month since you have sold it. The only time you can overlook the 1% rule is when a neighborhood is drastically changing or rapidly improving. In this regard, you can expect home values and rents to significantly increase over a short amount of time.

3. Neighborhood

One of the primary things that a prospective tenant would consider in renting out a home or apartment is the location. In fact, it may even be said that the location of a house is just as important as the house itself. In this regard, it would be wise to select an area wisely—particularly if you are potentially considering a tenancy. Choose an area where you tenants would want to live. Ideally, this should be somewhere not only safe but also in proximity to major offices, schools and entertainment hubs as well. Choose a neighborhood whose crime rates are not too high. Moreover, be on the lookout for communities with well-manicured lawns and aesthetically painted homes as tenants will be more receptive in living on a street with excellent curb appeal.

If you wish to market your tenancy to families, have a look at the local school district and ensure that they are within reasonable distance from the neighborhood you have chosen. Parents with children are more likely to rent from areas that have well-ranked schools close-by. Alternatively, if you wish to market your rental property to students, ensure there is a nearby university as this will guarantee a strong rental market.

Here’s Why Your Best Friend Can Be Your Ideal Roommate When You Rent Flats in Metros

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apartments, flats, flatsrent, metros, property, rental

It’s everyone’s dream to get a place of their own and experience life staying on their own. That’s why staying away from home—be it rental property or lease apartments—is the most exciting phase in everybody’s life.

You meet new people, get a place of your own, get to cook for yourself, and get started on the journey of self-discovery. That said, at times when you are low, there’s no worse feeling than coming home to an empty room and have no one waiting.

Image: Flickr

There are moments when you want company, to be entertained and looked after. And who better to do these things with than your best friend!

Moving in with your best friend comes with a number of great perks. Let’s take a look at some of the reasons why living with them might just be the best decision you’ll ever take.

It’s Party Night, Every Night

Unlike when you lived with your folks and had to plan lunch dates with your best friend in advance, you can now simply chill at home after work. Impromptu parties are always great, and all you need to do is bring home some wine.

Mi Clothes, Su Clothes

No amount of clothes can ever make your wardrobe feel complete. If you don’t mind sharing your clothes, you can effectively double your wardrobe without even stepping out of your house.

If you and your friends are almost the same size, you can share each other’s wardrobes. You won’t ever run out of options to dress up. This keeps you from overspending, plus you get that extra space in your wardrobe to store.

Countless Soul Sessions

Your best friend knows you better than any therapist ever will. Nothing helps heal a broken heart faster than a one-to-one conversation with your best friend. Even your bad days’ end on a good note, because you get to vent about them.

Dealing with hangovers is a whole lot easier when you have your sympathetic bestie looking after you. You talk all night long with your best friend and sort out your existential crisis!

Non-Stop TV Marathons

You don’t have to fret about streaming your favourite series online when your friend is obsessed with the same. Binge watching movies and TV series without being judged definitely tops the list of amazing things you can do with your friend. As a bonus, you also get to share internet charges.

There’s Food 24/7

No matter how late you reach home or how tired you are to cook, there’s always food at home. You can bid adieu to that daily stress of cooking yourself dinner when you can split take-out food with your friend.

So long as your bestie is a half-decent cook, your daily cooking woes are gone.

A Date You Can’t Say No To

We’ve all been there: cancelling a trip or stopping yourself from going on a trip because you had no company. When you live with your best friend, you always have a plus one. You can explore new places, go to clubs and parties, and even pursue each other’s hobbies.

You will look forward to spending your weekends with them, and wish they never ended. #bffsforlife!

All Your Chores Become Fun Activities

Running weekly errands won’t feel like a drag when you do them with your best friend. Hollering over the same old songs on the radio, dancing crazily, or enacting funny scenes from beloved movies will make your chore time enjoyable. Chores like paying off bills for your leased flat or your rented apartment get an additional boost too: they become light on your wallet as you will split all the bills with your best friend.

Let’s not forget about the money you’d save by not going to the gym while still burning those calories with uncontrollable laughter! Give yourself a break from staying all alone or putting up with a roommate you barely know, and move in with your best friend NOW!

What’s your favourite thing to do with your roommate/best friend? Comment below and let us know!